初级分录（Primary entry）.doc

初级分录（Primary entry） Book balance = book price Book value = book balance - accumulated depreciation (amortization) Book value = book balance - accumulated depreciation (amortization) - impairment provision The third chapter owners equity Accounting for capital reserves: Capital reserve = total issue income - par value of shares - issuing expenses (2008 radio) Accounting for retained earnings: Allocation profit = undistributed profit + year profit + other transfer (2009 radio) Undistributed profit (at the end of year) = available profit - surplus reserve for the year - distribution of cash dividends, undistributed shares, etc.. Owner equity accounting: Total owners equity at the end of the period = total owners equity at the beginning of the period + the owners equity increased by the current period - the owners equity decreased by the current period (2008, 2010, radio) Fourth chapter income Service completion percentage method: the income recognised in this period = total labor income * at the end of this period, completion of the service completion process - recognised revenue for the previous period Cost recognised in this period = total cost of labor * progress of completion of labor services at the end of this period - recognised cost for the previous period Sixth chapter profit Composition of profits: Operating profit = operating income - operating costs - operating taxes and surcharges - sales expenses - management costs - financial costs - impairment loss of assets + fair value changes, gains and losses (+) + investment income (-) Total profit = operating profit + non operating income - non operating expenses Net profit = total profit - income tax expense The calculation of the income tax payable: The current income tax payable = taxable income * tax rate Taxable income = pre tax accounting profit + tax adjustment increase - tax adjustment decrease Accounting for income tax expense: Income tax expense = current income tax + deferred income tax expenses (deferr